Liverpool owners' talks with RBS over loan may extend beyond deadline

Negotiations between Liverpool owners Tom Hicks and George Gillett and RBS
over refinancing a £350 million loan may extend beyond Friday's deadline.

Bank talks: negotiations between Liverpool owners George Gillett (left) and Tom Hicks with RBS over refinancing a £350 million loan may extend beyond Friday's deadlinePhoto: PA

By Paul Kelso and Rory Smith

7:45AM BST 23 Jul 2009

The two parties have been in talks for several months and both sides have expressed confidence that a deal will be done.

It may not be concluded by the end of this week however, despite that being the date for the loan's expiry given in the most recent accounts for the club's holding company.

Last month RBS took the extraordinary step of publishing an open letter to supporters in which it expressed faith in the financial position of the club and said it looked forward to establishing "a long-term relationship" and looked forward to it "continuing for many years to come".

The letter suggests a deal will be struck. The football club are liable for £105 million, with the remaining £245 million lying with the holding company, Kop Football Ltd, and secured by Hicks and Gillett.

The holding company made a loss of £42.6 million last year, largely as a result of paying interest on the loans from RBS and Wachovia.

The owners have thus far committed £185 million of personal guarantees and other collateral for the loan.

Rafael Benitez's hopes for a seamless pre-season became even more remote on Wednesday as Martin Skrtel and Nabil El Zhar limped out of a friendly draw with the Thai national side and the Anfield futures of both Xabi Alonso and Javier Mascherano were cast further into doubt.

Alonso missed the 1-1 draw in front of 70,000 fans in Bangkok, Ryan Babel scoring for Liverpool, with a "slight" injury concern, prompting concerns his expected £30 million departure for Real Madrid was imminent.

Mascherano made a second-half appearance. The player's agent had suggested his client was "tired" of life in Liverpool, though Benitez is unlikely to sanction his departure for Barcelona.

Toulouse midfielder Moussa Sissoko can now be added to the long list of potential replacements should Alonso or Mascherano leave. Representatives for the midfielder are believed to have been contacted by Liverpool, although Benitez would face competition from both Tottenham and Everton for the French under-21 international.

The Spaniard has also been linked with the likes of Esteban Cambiasso, of Inter Milan and Roma's Alberto Aquilani, while he has long been an admirer of Athletic Bilbao's Javi Martinez.

Although Benitez has ruled out taking a player as part exchange for Alonso, both the Holland international Wesley Sneijder and Esteban Granero, only recently signed by Real from Getafe, could yet be included in a deal.